SEBI will open a special window for transfer of physical securities from February 5

Capital market regulator SEBI has introduced a special period of one year to enable investors to complete their ongoing transfer and dematerialization of physical securities from February 5.

This will help investors regularize and complete the transfer and dematerialization of securities and would make it easier for such investors to gain lawful access to their assets.

In a circular issued on Friday, SEBI said: “For investors who could not transfer their physical securities before April 1, 2019 due to various reasons including procedural or documentation-related challenges, the special window will open from February 5, 2026 to February 4, 2027.

The window will also be available for such transfer requests submitted earlier and rejected/returned/not acted upon due to deficiencies in the documents/process/or otherwise, SEBI said.

The regulator has made it mandatory from April 1, 2019 that all share transfers can only take place in dematerialized form, a measure intended to bring transparency and prevent fraud in securities transactions.

However, several investors, especially those with inheritances or incomplete paperwork, faced hurdles in complying with the new rules.

The latest step will provide relief to investors and allow them to regularize ownership of their assets without lengthy legal formalities, the regulator said.

The provisions of the circular will come into effect from February 5, 2026, it added.

Published on January 31, 2026